- Elon Musk said Twitter's board of directors wouldn't receive compensation for serving if he were to take over the social media company.
- "Board salary will be $0 if my bid succeeds, so that's ~$3M/year saved right there," Musk said in a tweet.
Elon Musk said Monday that Twitter's board of directors won't be compensated for serving if he acquires the company.
"Board salary will be $0 if my bid succeeds, so that's ~$3M/year saved right there," Musk said in a tweet.
It's not clear who would be appointed to serve on the board of a Musk-owned Twitter. Currently, Twitter spends about $2.9 million in cash and stock awards to board members, according to a filing with the SEC. Executives do not receive additional compensation for their seats, so that does not include payments for CEO Parag Agrawal and former chief Jack Dorsey.
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The Tesla and SpaceX CEO has been on a tear to acquire Twitter. After building up more than 9% in stock, Musk offered to buy Twitter in a deal valued at about $43 billion. In response, Twitter adopted a limited duration shareholder rights plan, often referred to as a "poison pill," in an effort to fend off a potential hostile takeover. Musk may also be considering a potential tender offer to Twitter shareholders to take control of the company.
The outspoken executive has argued Twitter needs to be "transformed" into a private company so it can become a forum for free speech. He's also said that Twitter's board members' interests "are simply not aligned with shareholders" and that the board "owns almost no shares" of the company.
